Current Year Preceding Year Sales $9,700,000   $7,175,000   Beginning inventories 420,000   400,000   Cost of goods sold 5,820,000   4,305,000   Ending inventories 550,000   420,000     a.   (1.) Determine for each year the inventory turnover. Round answers to one decimal place. Current year ? Preceding year ?         (2). Determine for each year the number of days' sales in inventory. Assume there are 365 days in the year. Round intermediate calculations to the nearest whole dollar and final answers to one decimal place. Current year ? Preceding year ?   b.  What conclusions can be drawn from these data concerning the inventories?

Q: The following data were extracted from the income statement of Keever Inc.:   Current Year Previous…

A: Ratio analysis is a method of measuring the financial position of the organization with different…

Q: Inventory Analysis The following data were extracted from the income statement of Shriver Inc.:…

A: Inventory turnover is the number of times inventory is sold and replaced back in a time period.…

Q: ales eginning inventories ost of goods sold nding inventories Current Year $934,400 43,572 467,200…

A: The inventory turnover measures how efficiently a company uses its inventory by dividing the cost of…

Q: Based on the following data for the current year, what is the inventory turnover (rounded to one…

A: Avergae inventory=Merchandise inventory, beginning of the year+Merchandise inventory, end of…

Q: Based on the following data for the current year, what is the number of days' sales in inventory…

A: Average Inventory = (Inventory, beginning of year + Inventory, end of year) / 2 Average Inventory =…

Q: Broadway Communications reported the following figures in its annual financial statements: (Click…

A: Average inventory = ($560 + $450)/2 Average inventory = $1,010/2 Average inventory = $505…

Q: Based on the following data for the current year, what is the number of days' sales in inventory?…

A: Days sales in inventory = 365/(cost of goods sold/Average inventory)  Average inventory = (Opening…

Q: A company had an average inventory last year of $180,000 and its inventory turnover was 5. If sales…

A: Inventory Turnover Ratio: Inventory turnover refers to the pace at which inventory stock is sold,…

Q: PROBLE The Cape Corporation has ending inventory of $483,167, and cost of goods sold for the year…

A: Inventory turnover is 8.87, which means The Cape Corporation sells its inventory and replaces it…

Q: Cost of Goods Sold (Cost of sales) $1,000,000 Beginning Merchandise Inventory Ending Merchandise…

A: The inventory turnover ratio is calculated as cost of goods sold divided by average inventory.

Q: Accounts Receivable and Inventory Turnover Use the following information to respond to the questions…

A: Ratio analysis helps to analyze the financial statements of the company. The management can take…

Q: Compute Altoona Company's (a) inventory turnover ratio and (b) number of days' sales in inventory…

A: The inventory turnover ratio refers to the number of times, an organization sells and replenishes…

Q: Cost of goods sold for Abe Distributors was $550,330 for the year. If the beginning inventory at…

A: Ratio analysis is one of the important technique of management accounting. Under this, various…

Q: Based on the following data for the current year, what is the inventory turnover (rounded to one…

A: The inventory turnover ratio seems to be an efficiency measure that assesses a firm's capacity to…

Q: Compute the average days in inventory rounded to the nearest whole day based on the following data:

A: Average days in inventory is calculated to how quickly a company can convert its inventory into…

Q: Based on the following data for the current year, what is the inventory turnover (rounded to one…

A: Efficiency ratios are also known as activity ratios. It measures how well companies utilize their…

Q: nventory Analysis The following data were extracted from the income statement of Keever Inc.:…

A: Inventory Turnover = Cost of Goods SoldAverage Inventory   Number of days' sales in Inventory =…

Q: The following data were extracted from the income statement of Brecca Systems Inc.:   Current Year…

A: Formula: Inventory turnover = Cost of goods sold / Average inventory.

Q: A company reports the following: Cost of goods sold $216,080 Average inventory 54,020 Determine (a)…

A: The inventory turnover ratio means how many times a company needs to replenish the average inventory…

Q: Complete the following: (Round your answers to the nearest hundredth.)     Average…

A:

Q: Inventory Turnover and Days’ Sales in Inventory W. Glass & Company reported the following…

A: Days sales in inventory is calculated by dividing number of days in a year by inventory turnover…

Q: uring the current year, Peach Industries' reports sales of $184,000 and an average Odays. The…

A: Introduction:- The following formula used to calculate gross margin percentage as follows:- Gross…

Q: Rockingham Communications reported the following figures in its annual financial statements: n to…

A: Inventory turnover - 37.14 timesDays' sales in Inventory  - 9.83 daysExplanation:Step 1: Show…

Q: Compute Altoona Company's (a) inventory turnover ratio and (b) number of days' sales in inventory…

A: Inventory turnover ratio (ITR) is a financial ratio that indicates how many times a company's…

Q: Solve for the missing information designated by "?" in the following table. (Use 365 days in a year.…

A: Inventory turnover ratio measures how many times a company's inventory is sold and replaced within a…

Q: Based on the following data for the current year, what is the inventory turnover (rounded to one…

A: The inventory turnover ratio indicates the number of times inventory turns to sales. It can be…

Q: Inventory Analysis The following data were extracted from the income statement of Keever Inc.:…

A: Ratio analysis is a method of measuring the organization's financial position with different kinds…

Q: Inventory Analysis The following data were extracted from the income statement of Shriver Inc.:…

A: The objective of the question is to calculate the inventory turnover and the number of days' sales…

Q: Endor Company begins the year with $110,000 of goods in inventory. At year-end, the amount in…

A: The inventory turnover tells about the efficiency of the business to convert its inventory into…

Q: Inventory Analysis A company reports the following: Cost of goods sold $249,660 Average…

A:

Q: Determine (a) the inventory turnover and (b) the number of days' sales in inventory. Round interim…

A:

Q: Selected financial information for Zachary Company for Year 4 follows: Sales Cost of goods sold…

A: Average Merchandise inventory= (Beginning merchandise inventory + Ending merchandise…

Q: The following data were extracted from the income statement of Shriver Inc.: Current Year Sales…

A: Inventory turnover is the rate at which the inventory is either sold, held or replaced. In other…

Q: Suppose that the following information is available for Nike Inc. for the current year. Beginning…

A: Lets understand the basics.INVENTORY TURNOVERInventory Turnover Ratio is the Ratio between Cost of…

Q: what is the number of days' sales in inventory

A: number of days' sales in inventory =(Ending Inventory/Cost of Goods Sold )X 365 days

Q: Based on the following information compute (a) inventory turnover, (b) average daily cost of…

A: Inventory turnover ratio refers to number of times inventory is sold or used in a given period.

Q: Average Inventory, Inventory Turnover Ratio, Inventory Turnover in Days Belt Company had net sales…

A: Average inventory = (Beginning inventory + Ending inventory)/2 Inventory turnover ratio = Cost of…

Q: Selected financial information for Rooney Company for Year 4 follows: $ 1,800,000 1,260,000 Sales…

A: Inventory turnover ratio is the measure that helps in determining the efficiency of the entity in…

Q: Inventory Analysis The following data were extracted from the income statement of Keever Inc.:…

A: Inventory turnover :— It is calculated by dividing cost of goods sold by average inventory.…

Q: A company reports the following: Cost of goods sold $478,150 Average inventory 95,630 Determine (a)…

A: Inventory Turnover ratio indicates how quickly Inventory convert into the sales.

Q: Solve for the missing information designated by "?" in the following table. (Use 365 days in a year.…

A: Ratio analysis helps to analyze the financial statements of the company. Management can take…

Q: The following data were taken from the financial records of Bramble Company. Net Sales Beginning…

A: Lets understand the basics. Inventory turnover ratio indicates the how many time inventory turns…

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is